Bitcoin News

Bitsquare’s Decentralized Currency Exchange is Ready For The World

After 3 months of extensive testing on the Bitcoin MainNet, the world’s firstdecentralized Bitcoin exchange is now ripe for a wider audience, entering the Beta launch stage.

All systems are go!

There are many currency exchange options out there, but none quite like BitSquare. Over the course of the last three years, Bitcoin users, in particular, have seen quite a bit of exchange risk, in that the exchange may be here today, gone tomorrow, with your Bitcoins. What if the exchange never had your Bitcoins to begin with? No “hot wallets” or cold storage necessary? A true peer-to-peer platform that works with you, your partner, and a multi-sig moderator that releases the escrow, as needed?

"(For the last) three months it is running on MainNet, and we’re doing a lot of tests,” Bitsquare founder Manfred Karrer tells The Daily Decrypt. “What makesBitSquaredifferent from normal exchanges is that it is completely decentralized, that means it is decentralized in the infrastructure using a custom peer-to-peer network over Tor (hidden services network,) but no worry, no one needs to install Tor. It is integrated into BitSquare, so it works without any extra setup. It is a desktop application. You just download, install it for any OS, and run it."

Considering the design of this truly decentralized exchange, BitSquare, based in the UK, does not have to register as a financial exchange and follow common KYC/AML regulations, since it never holds any user funds. He says he has checked with British authorities on this important legal aspect and they have signed off on this level of freedom.

"BitSquare is never holding any users funds. The bitcoins are either on your local wallet or are locked in a multi-sig transaction. You do not need to register. There is no verification. As long as the exchange is not holding funds and as long as the exchange is not doing the automatic order matching, then there are no regulation requirements."

BitSquare can work with fiat currencies as well as any altcoin. The currency, for example, Ethereum’s Ether is being converted into USD, would be converted into Bitcoins, then the Bitcoins would be converted into USD. Bitcoin is the key to the BitSquare network, and all funds will be converted into Bitcoin. The two peers do all trades without a third party unless a “mediator” is needed, who will hold the third key in the two-out-of-three multi-sig transaction.

For more information on how BitSquare works, we have provided the full interview of with Amanda B. Johnson of the now-defunct “The Daily Decrypt” below. To download the beta version of Bitsquare and begin trading, go here.

Author : Evander Smart

Evander Smart worked for many years as a Wall Street banker, and has learned how the economy is self-destructing from the inside. His travels, experience and research have led him to Bitcoin as the best way forward for the common man. He looks to spread the word on how Bitcoin can help anyone break the shackles of economic slavery being created by global establishment forces. Evander gets you thinking about what money really is, and how it will work for you going forward. The world of finance is getting ready for incredible changes, and he is getting ready for what's coming next. Are you? Learn more about "The Future of Money" @ Bitcoin Video University